U.S. Alabama likely site of new VW plant -paper

FRANKFURT, July 5 (Reuters) - The U.S. State of Alabama will be the likely home of a new Volkswagen (VOWG.DE: Quote, Profile, Research) manufacturing plant, beating two other states, German industry newsletter Automobilwoche said on Saturday, citing senior company sources.

A VW spokesman said that a decision on the location of the plant had yet to be taken and that Alabama, Tennessee and Michigan remained in the running. A decision is expected by July 21, the spokesman said.

Daimler's (DAIGn.DE: Quote, Profile, Research) Mercedes Car Group has had a manufacturing plant in Alabama for years and ThyssenKrupp (TKAG.DE: Quote, Profile, Research), an important supplier of automotive steel, is also opening a production facility in the state. (Reporting by Jonathan Gould and Frank Siebelt, Editing by Peter Blackburn)